BIR Ruling [UN-444-95]

December 18, 1995 BIR RULING [UN-444-95] Mrs. Celenita V. Francisco Office of the Secretary Department of Finance M a n i l a M a d a m : This refers to your Facsimile Transmittal Sheet requesting our feedback, if any, on the comment of Undersecretary Ma. Cecilia C. Soriano regarding the proposed regulation amending Section 2, paragraph (c) of Revenue Regulations No. 1-87 earlier submitted by this Office for the signature of Secretary Roberto F. de Ocampo. By way of comment, please be informed that the suggestion of Undersecretary Soriano to amend also Section 1 of Revenue Regulations No. 1-87 to include VAT among the internal revenue taxes to be withheld from money payments by government agencies is deemed unnecessary since the withholding of creditable value-added tax on money payments by the government for purchases of goods and/or services is already covered by Revenue Regulations No. 10-93 implementing Republic Act No. 7649. On the other hand, we agree with the suggestion that the last phrase "within the period prescribed in these regulations" should be retained in the proposed amendatory regulations for clarity, however, the same should be reworded to "within the period prescribed in the preceding paragraph". Other than the above, we have no more feedback to be incorporated on the proposed regulation amending Revenue Regulations No. 1-87. cdtech Very truly yours, LIWAYWAY VINZONS-CHATO Commissioner of Internal Revenue